- Bitcoin price is still trading above the $7,200 and $7,240 support levels against the US Dollar.
- The price is struggling to climb above the $7,440 and $7,500 resistance levels.
- There is a major breakout pattern forming with resistance near $7,440 on the hourly chart of the BTC/USD pair (data feed from Kraken).
- The pair could either rally above the $7,500 resistance or it might dive back towards $7,000.
Bitcoin price is likely setting up for the next key break against the US Dollar. BTC must stay above $7,240 to start a strong upward move in the near term.
Bitcoin Price Analysis
Yesterday, bitcoin trimmed gains from well above $7,500 and declined below $7,300 against the US Dollar. Moreover, BTC price broke the $7,200 support area and the 100 hourly simple moving average.
However, the price remained stable above the $7,000 support area. A low was formed near $7,068 and the price started a decent upward move. It broke a couple of important resistances near $7,200 and $7,240.Besides, the price settled above the $7,240 level and the 100 hourly simple moving average. On the upside, the price seems to be facing a strong resistance near the $7,400 and $7,440 levels.
The last swing high was near $7,487 and the recent low was near $7,256. At the outset, the price is trading above the 50% Fib retracement level of the recent slide from the $7,487 high to $7,256 low. Though, the $7,400 area is acting as a resistance. Additionally, the 61.8% Fib retracement level of the recent slide from the $7,487 high to $7,256 low is preventing an upside break.
